The Fresno City Council has voted to limit payday lenders. City leaders have learned that Fresno's 66 existing payday lenders may be hurting the local economy by imposing interest rates topping 400 percent.
Several local religious leaders called on the council to prevent any further damage. "Capitalism is the expected norm, but we, as people of faith, can expect that if interest is charged it will not be exorbitant or debilitating," said Rev. Natalie Chamberlain. "Please don't let more payday lenders get rich off the backs of those in our society who can least afford it."
New city rules will require any new payday lenders to be located at least a quarter of a mile from other loan operations. Their locations are also restricted to main business areas. The rules do not apply to existing lenders.